If a Computer Company Decided to Open Its Own Call

question 54

Multiple Choice

If a computer company decided to open its own call centers to provide technical support to its corporate customers because the employees in these call centers need a significant level of in-depth training that was highly specialized to the computer company's products,this would be consistent with which explanation of vertical integration?

• A) Opportunism-based
• B) Flexibility-based
• C) Firm capabilities-based
• D) Alliance-based

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Definitions:

Design Collaboration

A process where multiple stakeholders work together in the planning and creation of a product, service, or system, often leveraging diverse expertise.

Lowest Possible Price

The minimum price at which a good or service can be sold, often reflecting the lowest sustainable cost of production or providing a service without incurring a loss.

Supply Chain Margin

The difference between the cost of goods sold and the sale price along the entire supply chain, reflecting the value added by each participant in the chain.

Quantity Flexibility Contracts

Contracts that allow for adjustments in the quantity of goods ordered, providing buyers with flexibility to respond to demand fluctuations.